MGM Mirage says suits without merit

By IBT Staff Reporter09/17/09 AT 10:47 AM

ATLANTA - Casino operator MGM Mirage said on Thursday lawsuits filed against it in recent weeks that allege securities fraud were without merit.

The company will vigorously defend against these claims but there can be no assurance that the outcome of the proceedings will not have a material adverse effect, MGM said in a Securities and Exchange Commission filing.

MGM shares rose nearly 7 percent to $13.24 in early trading on the New York Stock Exchange.

In the filing, MGM listed three lawsuits filed in the U.S. District Court of Nevada during August and September.

One complaint alleges the defendants disseminated or approved materially false and misleading statements. The two other suits allege unjust enrichment for top executives and say the company breached its fiduciary duty. (Reporting by Karen Jacobs, editing by Dave Zimmerman